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Corruption scandal: Lithuanian PM resigns

Under investigation for alleged financial crimes linked to his companies

Снимка: БГНЕС/ EPA

Lithuanian Prime Minister Gintautas Palukas has resigned. The news was announced by President Gitanas Nauseda to the media on Thursday morning. Palukas confirmed the news in a statement sent by his Social Democratic Party.

He is under investigation for alleged financial crimes linked to his companies. This has sparked protests in the Baltic country's capital, demanding that he step down as prime minister.

What are the abuses?

In July, several media outlets published investigations into the Lithuanian prime minister's past and current business ventures, as well as alleged abuses, some of which date back more than a decade. The Baltic country's anti-corruption and law enforcement agencies subsequently launched their own investigations.

The media also revealed that Palukas never paid a significant portion of a 16,500 euro ($19,039) fine in connection with a 2012 criminal case dubbed the "rat poison scandal." Palukas was previously convicted of abusing the tender process for rat extermination services in Vilnius while he was the director of the capital's municipal administration. Judges at the country's Supreme Court ruled in 2012 that he abused his official position by illegally granting privileges to the company that offered the highest price in the tender. He was then sentenced to two years in prison, but the sentence was suspended and he was never imprisoned.

The Social Democratic Party leader denied any wrongdoing in connection with his business, describing the criticism as part of a "coordinated attack" by his political opponents.

Entire government expected to resign

Palukas took office as prime minister at the end of 2024 after a three-party coalition was formed following parliamentary elections in October. His entire government is now expected to resign, which could leave the country without an effective government weeks before Russia holds joint military exercises with neighboring Belarus.

In May, Lithuania launched legal proceedings against Belarus at the International Court of Justice, accusing it of being behind a wave of "illegal migration" in the country.

Lithuania was part of the Soviet Union, becoming the first republic to declare independence in 1990, before the world power collapsed the following year. In 2004, Lithuania became a member of the EU and NATO, and since 2015 it has been part of the eurozone. Lithuania's foreign policy is unlikely to change as a result of the changes in government. President Nauseda is one of Ukraine's staunchest supporters in its fight against Russia.